Real Estate Industry update
Legal developments

Real Estate Industry update
Legal developments

March 25, 2025

INDUSTRY UPDATE

The battle of the clear cooperation policy(CCP) continues!

NAR alternative describes its vision of CCP, while NAR announces a new policy complimenting CCP

The launch of AREA
In 2024, Mauricio Umansky and Jason Haber launched the American Real Estate Association, “AREA”.  See National Association of Realtors Faces Competition From New Group – The New York Times

Jason Haber
Jason Haber, a Compass Agent in New York has been a vocal critic of the National Association of Realtors (“NAR”).  On August 26, 2023, the New York Times published a story alleging sexual harassment by then President of NAR, Kenny Parcell.  See Women Say Sexual Harassment and Discrimination Are Rife in Group for Realtors – The New York Times

On August 27, 2023, Mr. Haber started a petition asking for Mr. Parcell’s resignation.  See Petition · Demand the Immediate Resignation of Kenny Parcell, President of N​.​A​.​R. – United States · Change.org

Mr. Parcell denied the allegations.  On August 28, 2023, Mr. Parcell resigned.

On August 30, 2023, Mr. Haber formed the NAR Accountability Project demanding the resignation of the NAR CEO Bob Goldberg and the entire NAR leadership team.  See Petition update · Sign our New Petition! Demand the Resignation of NAR CEO Bob Goldberg & Others + Change NAR Now! · Change.org · Change.org

On November 2, 2023, days after the multi-billion dollar Burnett verdict against the NAR, Mr. Goldberg stepped down.  See National Association of Realtors CEO steps down, days after real estate group found liable for conspiring to inflate rates | CNN Business

Mauricio Umansky
Mr. Umansky is a Los Angeles based real estate agent.  He co-founded The PLS.com, a nationwide property listing site.  Although “P” in PLS stands for Property, the platform amounted to a pocket listing site.  Subsequently, its name was changed to The NLS.com.  He operates the Agency, a luxury brokerage firm.  See About | The Agency Global Boutique Real Estate

In 2020, Mr. Umansky/The PLS.com sued the NAR alleging that its policies of banning pocket listings were anticompetitive.  He ultimately paused the litigation after settling with other non-NAR co-defendants including Bright MLS, Midwest Real Estate Data and California Regional Multiple Listing Service.

As a sidebar, it should be noted that Tracy Kasper, the President who had taken over after Mr. Parcell had resigned, also resigned on January 8, 2024.  See NAR President Tracy Kasper Resigns; President-elect Kevin Sears Steps into Role, Effective Immediately

AREA
AREA promises that listing data, regardless of your local market, will be available to American Real Estate Association members via theNLS.com, a national MLS database.  It will allow agents to set their own commission rates and will not require any cooperation between the buyer and seller agents.

As of April 2024, the AREA membership has grown to 3,800.  See NAR alternative now has 3,800 members

Clear Cooperation Policy
The NAR’s Clear Cooperation Policy requires that within one (1) business day of marketing a property to the public, the listing broker must submit the listing to the MLS for cooperation with other MLS participants. 

NAR promulgated CCP in 2019. In 2020, the Top Agent Network (TAN) sued NAR over it, followed by another lawsuit from ThePLS.com, owned by Mr. Umansky who withdrew his suit in 2024.  TAN reached an agreement with NAR to dismiss the case without prejudice in January 2025, meaning that TAN can re-file it, if it so chooses.

In September 2024, Mr. Umansky threatened to re-file the suit, see https://www.instagram.com/reel/DAADHwdPg_a/

Compass CEO Robert Reffkin, a vocal opponent, has predicted that CCP will end by the end of 2025.  See Robert Reffkin Foresees the Conclusion of Clear Cooperation by 2025 –

AREA announces alternative to CCP
In March 2025, AREA articulated what it calls “Clear Collaboration Policy”, an alternative to CCP.  The policy would require the property to be listed in a national MLS, but the parties can subsequently decide how to market it.  See https://wrenews.com/american-real-estate-association-unveils-alternative-to-nars-clear-cooperation-policy/

However, the current CCP does not prohibit unique marketing once the property is listed in the MLS either.  Therefore, the distinction between AREA policy and the NAR’s CCP may need to be more finetuned.

NAR announces new Multiple Listing Options for Seller policy complimenting CCP
On March 25, 2025, NAR announced a new MLS policy.   See Multiple Listing Options for Sellers
According to NAR:

  • A consumer will have the option to market their home as a “delayed marketing exempt listing.” This means a seller can instruct their listing agent to delay the marketing of their listing by other agents outside the listing firm through IDX or syndication for a period of time.
  • During the delayed marketing period, the home seller and the listing agent can market the listing in a manner consistent with the seller’s needs and interests. At the same time, the delayed marketing exempt listing will still be available to other MLS Participants through the MLS platform so they can inform their consumers about the property.
  • Each MLS will have discretion to determine a delayed marketing period that is most suitable for their local marketplace.
  • Listing agents representing sellers who choose to delay the public marketing of their listing must secure from their seller a signed disclosure documenting the seller’s informed consent to waive the benefits of immediate public marketing through IDX and syndication. Seller disclosure is required for both delayed marketing exempt listings and office exclusive exempt listings.

It appears that the “delayed marketing exempt listings” is analogous to “coming soon” type of marketing.  Since the delayed marketing exempt list will be available to all MLS participants, the agents can advise their clients about the property.  Presumably, an agent can call the listing agent and get details on the property.  

The delayed marketing option will permit a seller to delay advertising the listing through IDX- Internet Data Exchange during a “period of time” as stated by the NAR, see #1 above.  This means that home aggregator sites like Zillow or other real estate agents/brokerages will not have access to the listing during this delay period.

Kevin Sears, President of NAR noted in an email to the NAR members on March 25, 2025 that the new policy does not change an MLS’s local mandatory submission deadlines or CCP and its requirement to file a listing with the MLS within one (1) business day from public marketing.  Mr. Sears also announced a new link that the agents/buyers/sellers can use as a resource in making marketing decisions on their property.  He said that the link will be updated frequently on an as needed basis.  See Get the Facts

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